Exercise 23.1.1 Ariskless security with cash flow C1,C2, . . . ,Cn has a market price of
Question:
Exercise 23.1.1 Ariskless security with cash flow C1,C2, . . . ,Cn has a market price of
n i=1 Cid(i ). The discount factor d(i) denotes the PV of $1 at time i from now.
Is the formula still valid if the cash flow depends on interest rates?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Related Book For
Financial Engineering And Computation Principles Mathematics Algorithms
ISBN: 9780521781718
1st Edition
Authors: Yuh-Dauh Lyuu
Question Posted: